Seadrill, SapuraKencana Wrap Up Tender Rig Deal

Seadrill, SapuraKencana Wrap Up Tender Rig Deal

Seadrill and SapuraKencana have today completed the  the transaction to integrate Seadrill Limited’s (“Seadrill”) tender rig division into SapuraKencana Petroleum Berhad (“SapuraKencana”)

The agreed upon acquisition price is for an enterprise value of US$2.9 billion, which includes cash, SapuraKencana shares, all debt in the tender rig business, and Seadrill’s future capital commitments for newbuilds.

The incremental 400.8 million shares received by Seadrill bring Seadrill’s equity holding to approximately 12 percent of the outstanding shares of SapuraKencana. At today’s closing share price of RMB3.18, Seadrill’s total shareholding will have a gross value of approximately US$753 million. In addition, John Fredriksen, Chairman of Seadrill Limited, is a nominee to the Board of Directors of SapuraKencana.

Related: SapuraKencana, Seadrill to Merge Tender Rig Businesses

John Fredriksen, Chairman, President and Director of Seadrill says in a comment, “We are pleased to have completed this important transaction with our long-term partner, SapuraKencana. We look forward to support the integration of the tender rig fleet in order to facilitate a smooth and orderly transition for the customers. This transaction will free up significant financial flexibility for Seadrill, and the proceeds will as previously stated be used over time to continue to aggressively grow our modern ultra-deepwater and jack-up exposure.”

[mappress]
Press Release, May 1, 2013
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